according to an analysis by Fortune magazine, stablecoin issuers such as Circle and Tether are consuming more US Treasury bonds than most countries, which could reshape the US economy. Tether disclosed the latest data showing holdings of over $100 billion in US Treasury securities, surpassing countries like the UAE and Germany. Although supporters of cryptocurrencies believe that stablecoins will help consolidate the dominance of the US dollar globally, critics warn that even if stablecoins account for only a small portion of the overall market, they could lead to financial instability in the banking industry. This is because stablecoins may draw funds away from bank deposits, and since deposits are necessary liquidity for loans, stablecoins are likely to threaten the credit system.
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Analysis: Stablecoin issuers like Circle and Tether are swallowing up US debt and may threaten the credit system
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